Dáil debates

Tuesday, 6 November 2007

Land and Conveyancing Law Reform Bill 2006 [Seanad]: Second Stage (Resumed)

 

6:00 pm

Photo of Seymour CrawfordSeymour Crawford (Cavan-Monaghan, Fine Gael)

With the Minister for Justice, Equality and Law Reform who has legal expertise present, I will not address legal issues. This has been done by Deputy Flanagan and others. I will instead refer to difficult issues with which politicians and the public must deal.

I welcome the update of the law, in accordance with modern society, for which the Bill provides. I hope it will promote simplification because complication is one of the issues that can arise in the conveyancing of land. We need the process and language to be simpler. Recently a young lady sought to have land for a site transferred from her father. She had to comply with various regulations and deal with problems over a six month period in order that she could acquire title to obtain a loan for her house. That should not happen nowadays, the process should be simpler. The land was in the ownership of the family for a long period. The Bill should simplify matters.

Regarding the transfer of land, there are historic landlord and tenant deals, free land and other legal jargon terms. Some ten years ago a man sought to build on the family farm. The neighbour's son had built on the land without a problem. In those days the bank would accept lodgement of deeds. When the man in question sought to obtain a mortgage, the title was not correct. In the end, the solicitor had to find 19 people across the island of Ireland, England, Scotland and Wales before the man in question could acquire the title. This caused major complications. How can one particular farmer use the land for 12 years, pay no rent and then take it over because of the time he spent on it? On the other hand, land in the hands of one family for years can lead to this difficulty. I hope the Bill deals with the serious difficulties encountered in the past.

I refer to the rights of tenants. In Carrickmacross tenants are under severe pressure. Legal actions have been taken but nothing has been solved. Other speakers have referred to the right to roam, an issue which must be dealt with in an amicable manner. Discussions relating to this matter have been taking place between farming organisations and the Government for some time. Farmers must be careful, particularly in this era of the compensation culture. If a person slips or has an accident on a farmer's land, the latter might experience a great deal of trouble as a result. Most people involved in farming have full insurance. However, the position in this regard must be made quite clear and all difficulties relating to it resolved.

While it is important to ensure that tourism is allowed to thrive and that people are encouraged to give others the freedom to walk over their land to access special scenic areas, the rights of landowners, property owners, farmers etc., must be taken into consideration and upheld. Where necessary and justified, some level of compensation should be paid.

There is also the issue of extra rights. Some time ago I raised a particular matter and requested that solicitors be notified and informed in respect of it, particularly in light of the problems that can arise. I refer to situations where someone may have made his or her will in the late 1990s when single farm premia did not exist. Another person who comes into possession of that individual's land may be of the view that the right to the single farm premium transferred to him or her with the land and that he or she is entitled to it. I understand that the latter is not the case if there are other relatives alive who may have a claim to pursue. The position in this regard must be made clear to solicitors and to people in general in order that there will not be a great deal of fighting and rows among the members of a family following a person's death.

Single farm premia form a large part of farm incomes and this is a major issue. I recently came across a case in which a farm was sold, as were the rights to the premium. It was advertised and agreed by everyone that the rights were of a certain value. However, when the farmer tried to transfer the rights he discovered a number of technicalities that had not been clarified by the solicitors, auctioneers or anyone else. The case to which I refer is quite complex and I do not wish to make any more comments in respect of it because there is a possibility that it may be taken further. However, solicitors must be informed about the new issues that must be dealt with in this area.

A number of years ago, the use of bogland or commonage was not really an issue. Now, however, given that money is allocated towards overall acreage via REPS and other schemes, such land has become extremely valuable and is giving rise to difficulties.

Clarification must be provided in respect of problems relating to partnerships. There is no doubt that partnerships between fathers and sons, between neighbours etc., can give rise to difficulties, particularly if they are not well dealt with by solicitors. In my view, many solicitors do not fully understand what is involved. For example, a leasee can cause problems if he or she so wishes. If a farmer leases land to his son and takes the EU farm retirement grant, under existing laws he subsequently cannot give the land to his son unless the latter pays an enormous amount of stamp duty. This comes about because in legal terms the owner of the land, having taken the farm retirement grant, is no longer a farmer. I would like to see technicalities of this nature changed.

In the past, solicitors were among the most trusted people in the country. What has happened in recent weeks regarding dodgy transfers — I do not wish to say too much before further legal action may be pursued in this area — has damaged the trust that exists between solicitors and their clients. It is important that these matters be dealt with in the strongest possible way. If there is a need to introduce legislation, then so be it. If legislation is not required, we must ensure that the individuals involved are dealt with because the trust to which I refer must continue to exist. If, for example, a person has a need to seek an immediate loan, the position vis-À-vis his or her solicitor's guarantee to the bank that the legal situation will be resolved in the future must be clarified. If that does not happen, there will be major delays in many areas, including the construction of private homes.

In the past solicitors provided undertakings or guarantees to lending institutions that when all matters relating to titles were resolved, they would, as promised, be presented with clear deeds. Recent events have undermined that clear understanding and could damage some young people's future prospects. I hope the position in this regard can be resolved. Regardless of whether it is in politics or the legal profession, one or two bad eggs can spoil matters for everyone.

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